Sharpe James found guiltySharpe James was found guilty on all counts in his trial regarding illegal land deals. (Video by The Star-Ledger)

A federal jury today convicted former Newark Mayor Sharpe James of fraud for conspiring to rig the sale of nine city lots to his mistress, who quickly resold them for hundreds of thousands of dollars in profit.

After a high-profile trial that stretched for five weeks, the jury returned its verdict in a courtroom just a block from the City Hall office James personified for two decades. The jurors, less than an hour into their sixth day of deliberations, found the 72-year-old former mayor guilty on all five counts he faced.

James' co-defendant and former girlfriend, Tamika Riley, was also found guilty on those five counts and eight others, including tax evasion.

Robert Sciarrino/The Star-LedgerFormer Newark Mayor Sharpe James leaves the courthouse this morning with his attorney, Alan Zegas.

Under federal sentencing guidelines, both James and Riley face between four- and seven-year prison terms, said Assistant U.S. Attorney Judith Germano, the lead prosecutor. U.S. District Judge William Martini allowed both to remain free on bail until sentencing, which was set for July 29.

James' lead attorney, Thomas Ashley, said he intends to appeal the verdict, but did not say on what grounds. Riley's attorney, Gerald Krovatin, said he and his client "are deeply disappointed" in the verdict and also plan to appeal.

"Justice has finally been done," U.S. Attorney Christopher Christie said at a post-verdict news conference on the front steps of the federal courthouse. "Sharpe James will pay for what he did to the people of Newark."

As the verdict was read just after 10 a.m., James and Riley stared ahead, showing no emotion. Ashley clasped his hands over his head and gazed downward. Christie, seated in the front row, stood and congratulated Germano.

James' wife, Mary, missed the reading of the verdict and met him outside the elevator on the first floor. They kissed on the cheek and walked out of the building, as James repeated "no comment" to trailing reporters.

"It was deathly quiet in the elevator," said Jeffrey Bacon, 50, who worked under James at City Hall and rode down to the lobby with the former mayor and his two lawyers after the verdict. "No one could believe it."

Jennifer Brown/The Star-LedgerTamika Riley is surrounded by the media as she leaves the federal courthouse in Newark.

Riley also left the courtroom minutes after the verdict was read. Wearing sunglasses and with her head bowed, a silent Riley was escorted by Krovatin, her attorney. Riley drove away in a black GMC Yukon with Krovatin and two other women.

The jurors, six men and six women, were protected from the post-verdict media frenzy by U.S. Marshals. Huddled together, the jurors were shepherded out of the courthouse to their cars, with reporters held at bay.

The verdict tarnishes the legacy of Newark's most towering political figure, the onetime gym teacher with an oversized personality who led the state's largest city as it tried to rise from decades of blight and derision. News of James' conviction drew a mix of celebration and lament from city streets, and quickly reverberated at City Hall and the Statehouse.

"I find it sad that any of the good work produced by Mayor James will get lost or overshadowed by his conviction," Gov. Jon Corzine said after an appearance in Paramus this afternoon. "It's unfortunate for the citizens of Newark."

James served five terms as mayor, two also as state senator and wielded influence as one of the state's top Democratic powerbrokers, all the while sidestepping graft investigations that snared some friends and political allies. He left office undefeated two years ago, choosing not to seek re-election, which cleared the way for current Mayor Cory Booker.

Like other politicians of both parties, Booker said the verdict marks "a sad day for Newark."

"My prayers are with Sharpe James and his family," Booker said at a ribbon-cutting this morning for a Subway restaurant. "He was mayor for 20 years and accomplished a lot of things in that time. I hope that the citizens of Newark stay focused on the future and the great things that are happening now."

Ed Murray/The Star-LedgerSharpe James and his wife, Mary, arrive home after today's verdict. The license plate held by Mary James, which reads "BIBLE" was removed from the car while at the courthouse.

During the trial, the prosecution called nearly three dozen witnesses, from police bodyguards to city officials to developers, to suggest the mayor secretly manipulated the government approval process to give his girlfriend a real estate windfall.

Riley, a 39-year-old publicist from Jersey City with no development experience, paid the city $46,000 for six parcels in a redevelopment zone between 2001 and 2005. She resold them, often just weeks later, for $665,000.

James' attorneys countered that Riley got the same treatment as many other developers, at a time when Newark was trying to spur investments in some of its most devastated neighborhoods. They also argued the city council - not James - had the ultimate authority over land deals.

Neither James nor Riley testified.

James could still face another trial, over allegations he billed the city for $58,000 in personal expenses, including meals, entertainment and lavish vacations with Riley and other women. Prosecutors reserved their decision on those charges until this case was done.

The verdict places James on a long list of New Jersey politicians convicted of corruption in recent years, including former State Senate President John Lynch, county executives James Treffinger of Essex and Robert Janiszewski of Hudson and dozens of mayors, freeholders and council members.